MD_DA127 Whole Milk Powder - Oceania Report 7 - Released on February 13, 2020 Whole milk powder prices in Oceania are lower. This is the most important Oceania dairy export product and China is often the largest customer. Thus, uncertainty as to the duration and magnitude of slowed buying from China hovers over WMP markets. Market uncertainty arises from China addressing coronavirus by imposing a quarantine on tens of millions of people. The obvious result is that many workers are no longer working. This leaves many production facilities with reduced schedules or closed. Transport is affected. Food deliveries and demand are affected. Some already contracted WMP production has not shipped because customers in China are slowing the import process during this period. While this will eventually be resolved and regular market dynamics will return, when that will happen is uncertain. The result is market caution. Prices for: Oceania, All First Sales, Free on Board - Port, Conventional, and Edible Whole Milk Powder Price Range - 26% Butterfat; $/MT: 3,000 - 3,075 Information for the period February 3 - 14, 2020, issued biweekly Secondary Sourced Information: At GDT event 253 on February 4, the WMP all contracts price, $3,039, decreased 6.2 percent. The March contract, $3,017, decreased 6.5 percent. WMP exports from Australia January – December 2019, 42,000 MT, are 23.3 percent lower than calendar year 2018, according to CLAL data made available to USDA. WMP imports increased 31.8 percent. WMP exports from New Zealand January – December 2019, 1.5 million MT, increased 12.4 percent from calendar year 2018 according to CLAL data made available to USDA. Published by: Dairy Market News - Madison, WI Eric Graf, 608.422.8590 Email: Eric.Graf@usda.gov Additional Dairy Market News Information: Dairy Market News (DMN) by Phone: (608)422-8602 DMN Website: https://www.ams.usda.gov/market-news/dairy DMN MARS (My Market News): https://mymarketnews.ams.usda.gov